In 12 days from start to finish, Together has provided £2.5 million for a deal to secure the purchase of a large industrial estate in Exeter, saving the client from missing out on the right to buy the land.
Exeter Estates, led by Tony Rowe, chairman of Exeter Chiefs Rugby Club, had taken an option to buy the 46-acre estate many years earlier, but risked missing the deadline due to funding. Only 12 acres had planning permission in place, which posed an issue for mainstream finance providers.
Together was introduced to the client by the client’s adviser, James Priday of the Prydis Group, who had recommended the specialist lender, given the need for a common sense approach and a quick turnaround. Short-term finance was the ideal solution, since it would facilitate the purchase, and the client would then refinance later when they had obtained full planning permission.
Following the site visit, Together agreed £2.5 million of funding on the land which was valued at £3.2 million, with additional security provided. The funds were then delivered in just 12 working days.
Rowe said: “This was a great result for all concerned. Our intention, now that the purchase is complete, is to obtain planning permission for commercial uses on the full estate, creatingindustrial units and offices for businesses in Exeter.
“Time is of the essence when it comes to securing commercial property deals and the team at Together acted fast, demonstrating their commercial acumen and agility, in order to complete the deal in time.”
Ritchie Watson (pictured), director of development finance for Together, added: “It was clear to us that this was a good business deal but the planning permission issue had meant that mainstream providers weren’t able to act. This is where specialist short-term finance providers like ourselves have a real competitive advantage, as we can look at the bigger picture and take an individual approach to each case, rather than ticking boxes.
“Exeter Estates is an established business and has an exit strategy planned. They will reap the rewards of the increased land value once further planning is secured, so the short-term funding will provide real long-term gains.”